African Journal of Hospitality, Tourism and Leisure Vol.

4 (2) - (2015) ISSN: 2223-814X Copyright: ©

2014 AJHTL - Open Access- Online @ http//: www.ajhtl.com

A strategic analysis of Greek tourism: competitive

position, issues and lessons
Marios Sotiriadis*
Department of Transport Economics, Logistics & Tourism,
University of South Africa
Club One, Hazelwood, sotirm@unisa.ac.za
and
Stelios Varvaressos
Department of Business Management,
TEI of Athens

Corresponding author*

Abstract

All Mediterranean countries adopted and implemented more or less the same model of tourism
development based on 4Ss (Sun, Sea,Sand and Sex). The purpose of this paper is to analyse the
experience of developing leisure tourism in Greece in order to draw some useful lessons for other
tourism destinations. To address the study’s aim this paper adopts the approach of strategic analysis.
This approach illustrates the importance of tourism as an economic activity and analyses the current
situation and structural problems of Greece as a destination. Although Greece has a wonderful range
of natural, cultural and heritage resources, the lack of differentiation of the tourism offering as well as
competitive disadvantages in the fields of governance, planning and marketing caused an over-
dependence on tour operatorsfor the promotion and distribution of its tourism products. The same
factors compromised the quality of tourism services having involved a vicious circle. This situation has
a negative impact on the sustainability and competitiveness of the destination and tourism industry.
Therefore, the paper assesses the Greek experience with the aim to identify the crucial issues and
challenges. This evaluation permits to take some lessons from the Greek experience, beneficial to
other destinations willing to develop tourism, and to formulate some recommendations.

Key words: Seaside leisure tourism, Greece, Strategic analysis, Competitiveness, TTCI.

Source: http://www.greek-tourism.com/santorini/images/slider/3.jpg

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
2014 AJHTL - Open Access- Online @ http//: www.ajhtl.com
INTRODUCTION challenges to be addressed.The article is
completed by discussing the lessons from the
The purpose of this article is twofold: (i) to Greek experience and formulating
evaluate the Greek experiencein recommendations for destination planners and
developing4Ss tourism, and (ii) to identify and managers.
highlight the crucial issues and related
challenges.This evaluation permits totake THE CONTRIBUTION OF TOURISM TO THE
some lessons beneficial to other destinations GREEK ECONOMY
willing to develop tourism. The study’s aim is
addressed by applying the methodology of Greece has been an attraction for international
strategicanalysis.In the first section the Greek visitors since antiquity for its rich and long
tourism is presented, highlighting the history, Mediterranean coastline and beaches
contribution of tourism to the national (Gerrard, 2014).Greece launched its tourism in
economy. The next section deals with the the international arena, which started
strategic situation analysis of Greek tourism, flourishing in the early 1970s with its rich
presenting its performance according to the history, many cultural, natural and historical
travel and tourism competitiveness index resources, fascinating culture, iconic sights,
(TTCI),and performing a strengths- and the colorful cuisine.The country has all
weaknesses-opportunities-threats (SWOT) those factors that have been a big draw and
analysis to demonstrate its competitive will continue to be for inbound tourists to visit
position. The last section is devoted to the its islands and cities.
structural problems, issues, as well as

Figure 1: Map of Greece

Source: http://www.worldatlas.com/webimage/countrys/europe/lgcolor/grcolor.htm

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
2014 AJHTL - Open Access- Online @ http//: www.ajhtl.com
Tourism started to flourish in what became The key role of tourism in the Greek economy
known as mass tourism (Buhalis, 2001). has been highlighted by SETE (2014): it
During that time, large-scale construction contributes 16.2% to the GDP, covers 51.2%
projects for hotels and other similar facilities of the trade balance deficit, employs 1 out of 5
were undertaken and the country saw an residents, and generates 34 billion euros total
increase in inbound tourism over the years demand. The contribution of tourism to Greek
(Varvaressos, 2008). economy is shown in table 1.

Table 1: Tourism Industry in Greece - Main Indicators (Year 2013)

Indicators Year 2013

International Tourist Arrivals 16.4 millions
International Tourism Receipts 11.23 billion €
Contribution to GDP 16.2%
Contribution to employment 18.2%
Average per Capita Tourism Expenditure 646 €
European Market Share 2.9%
World Market Share 1.5%
Source: SETE (Greek Tourism Confederation), 2014

The tourism industry has been and still is one A strategic situation analysis consists of
of the main pillars of the Greek economy over examining the two main components of
a period of more than forty years. It has been tourism industry, demand and supply. A
proved that tourism industry has supported second subsection is dealing with the
and still does economic development because competitive position of Greek tourism, based
the industry cuts across and is linked to many on the estimations of Travel & Tourism
other industries, and its benefits are widely Competitiveness Index (TTCI). This is followed
distributed within national economies (Oxford by a strengths-weaknesses-opportunities-
Economics, 2012). A situation analysis in threats (SWOT) analysis to demonstrate the
strategic terms should allow us to identify and competitiveness of tourism industry.
to highlight the achievements of tourism
industry in Greece. This is the subject of the Tourism Demand for Greece: Inbound
following section. Tourism

GREEK TOURISM: A STRATEGIC A comprehensive image of

SITUATION ANALYSIS inbound/international tourism over the period
2000-2013 is shown in Table 2.
Table 2: Inbound tourism: arrivals, receipts and overnight stays

Year International tourist arrivals International tourism receipts Total of overnights spent
(millions) (US$, billions) (millions)

2000 13.10 11.23 137.62

2005 14.80 14.02 153.44

2010 15.07 12.72 140.18

2011 16.37 14.50 150.98

2012 15.52 14.23 140.92

2013 16.43 14.62 148.52

Source: Hellenic Statistical Authority (HSA), 2014

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
2014 AJHTL - Open Access- Online @ http//: www.ajhtl.com
The vast majority of international tourists in the providers of tourism services in Greece, about
country are from Europe, especially from the 26,500 restaurants, 3,855travel agencies and
European Union (EU) countries, followed by coach rentals and 4,560 car rental firms are
those from Asia and the Americas. The main estimated to operate throughout the country
origin markets for Greece are European, (Eurostat, 2013).With regards to the
namely England, Germany, FYROM (Former infrastructure, unfortunately, the Greek general
Yugoslav Republic of Macedonia), France and infrastructurehas been incapable of supporting
Russia(SETE, 2014).Main characteristics of the tourism superstructure growth of the last
Greek tourism are: (i) the seasonality of decades, and thus, telecommunications,
international tourist arrivals.Fourmonths (i.e. transportation, health services, water supply,
June, July, August and September) account and sewage systems are under extreme
for almost 70% of the total.It seems that the pressure in the summer peak months to satisfy
main elements of attractiveness are the sunny the demand density. Nevertheless during the
weather and warm and clean beaches. (ii) the last decade several major projects have been
dependence upon the air transport accounting initiated to improve mainly transport systems.
for 75% of the total inbound tourism. Greek These developments have improved the
tourism is heavily dependent on air transport, country’s infrastructure; however there are still
mainly charter flights operated by tour problems.
operators.
The implementation of the national tourism
Tourism Supply in Greece policy is supervised by the Ministry of Tourism
and the Greek National Tourism Organisation
A modern industry has emerged since the (GNTO). The two organisations share the
early1970s to cater for the inbound tourism responsibilities for planning, implementation
demand. The Greek tourism offering is an and promotion of Greek tourism. The Greek
amalgam of natural, cultural and heritage tourism offering / products are distributedto the
attractionsspread throughout the country, as international market predominantly through
well as a wide variety of services offered European tour operators, which organise
predominantly by SMTEs(Buhalis, 2001; package holidays and include resorts in their
Varvaressos, 2008).Moreover, 24,000 Kms of brochures. More than 4,300 incoming travel
coastline, 2,500 islands, an average of 300 agencies often act as tour operators’
sunny days annually, a unique fauna and flora, representatives at destinations and handling
as well as climatic superiority with mild winters agencies, while providing a variety of tourism
and warm summers are some of its natural services. In addition, the GNTO and
attractions (Gerrard, 2014). The Greek Municipalities operate several information
civilisation of more than 3,500 years also offices at major resorts.
provides plentiful cultural heritage throughout
the country. Historical monuments and Competitiveness: Concept and its
archaeological sites, numerous museums and Evaluation
traditional settlements offer a unique blend of
tourist attractions (VisitGreece, 2014).
Competitiveness is a comparative concept of
As for the transports, accessibility to the the ability and performance of a company,
countryis facilitated through thirty-two airports, industry, sector or country to sell and supply
most of which can receive direct international goods and/or services in a given market. The
charter flights. An extensive domestic Global Competitiveness Report of the World
regularflights network, a complex network of Economic Forum (WEF) defines
sea, road and rail transport enables passenger competitiveness as "the set of institutions,
transportation throughout the country policies and factors that determine the level of
(Varvaressos, 2008). Tourism businesses / productivity of a country.” (WEF, 2011:
amenities: a plethora of SMTEs provide the 2).Competitiveness has become a central
entire variety of services. In December 2013, a point of tourism policy. As tourism activity
total of 9,670 official accommodation units with intensifies and competition increases, tourism
a total capacity of more of 771,000 beds are policy focuses on improving competitiveness
provided.Moreover 500,000 beds are provided by creating a statutory framework to protect
by some 30,000 self-catering accommodation resources, and to monitor, control and
units, 16,000 beds in cruise liners and 13,200 enhance quality and efficiency in the
in yachts as well as 314 camping sites (86,958 industry(Goeldner et al., 2000).Within this
camping spaces) accommodate all types of context, various organisations and scholars
demand (Eurostat, 2013). As for other developed and suggested frameworks and

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
2014 AJHTL - Open Access- Online @ http//: www.ajhtl.com
models to enhance and assess tourism
competitiveness. One of these models is the
Travel and Tourism Competitiveness Index Table 3: TTCI for Greece (Years 2008-2013)
(TTCI).
TTTCI Greece
The TTCI is a holistic platform, jointly
Year Rank (out of Score (1-
developed by international bodies and
organizations (i.e. the WEF, IATA, UNWTO, 140) 7)
and WTTC). This tool has been developed 2008 22 4.9
within an effort to better understand the drivers 2009 24 4.9
of T&T competitiveness and the challenges
2011 29 4.8
that face the industry.The aim and objectives
of the TTCI are (Dwyer et al., 2011): 2013 32 4.8
Source: WEF, 2008, 2009, 2011 and 2013
(i) to help to explore the factors driving T&T
competitiveness worldwide, thus providing a
basis for implementing policies on a country-
by-country basis;
From the above table it is evident that the
(ii) to provide a comprehensive strategic tool competitive position of Greece has been
for measuring the factors and policies that deteriorated over the last six years. Greece is
make it attractive to develop the T&T industry facing competition from traditional and
in different countries; and emerging destinations, active in the global
tourism arena and aiming at market shares.
(iii) to provide benchmarking tools that enable That is why it is necessary to reposition the
countries to identify key obstacles to Greek tourism offering in the global market by
competitiveness, and to provide a platform for improving, differentiating and enriching its
dialogue among government, business and offering (Varvaressos and Soteriades, 2011).
civil society to discuss the best ways of Let us consider the performance of the Greek
removing them. Its results can be used by all tourism compared to its competitors.The
stakeholders to work together to improve the evaluation of performance of Greece and of its
industry’s competitiveness in their national main Mediterranean competitors (Spain,
economies, thereby contributing to national Croatia, Turkey and Egypt) in terms of TTCI is
growth and prosperity (WEF, 2011). It is depicted in table 4. (on the next page)
believed that TTCI is a useful initiative that
allows different countries to assess their
performance (i.e. destination competitiveness)
against other countries at various levels of
development. This framework was used to
evaluate the performance of Greek tourism
industry.

The Competitive Position of Greek Tourism

This section presents the country’s

performance on the TTCI and its various
1
components .The competitive score and
ranking for Greece over the last years are
shown in table 3.

Source:http://e2.tacdn.com/img2/vacationrentals/nifty_fifty/
1
The full version of the Report with Country/Economy greece_map.jpg
Profiles and Data Tables is available at:
www.weforum.org/ttcr. For further analysis, the data tables
at the end of the Report provide detailed rankings and
scores for each of the variables included in the TTCI.

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
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Table 4: Travel &Tourism Competitiveness Ranking (Year 2013)

INDEX – Main elements T&T T&T Regulatory Business environment T&T human, cultural &
COUNTRY Competitiveness framework & infrastructure natural resources
Index

GREECE

Rank (out of 140) 32 39 33 30

Score(1-7) 4.8 5.0 4.7 4.6

SPAIN

Rank (out of 140) 4 14 5 6

Score(1-7) 5.4 5.5 5.3 5.4

TURKEY

Rank (out of 140) 46 64 52 27

Score(1-7) 4.4 4.6 4.1 4.6

CROATIA

Rank (out of 140) 35 42 39 42

Score(1-7) 4.6 5.0 4.4 4.4
EGYPT

Rank (out of 140) 85 86 77 84

Score(1-7) 3.9 4.4 3.6 3.7

Source: WEF, 2013

From the above table it is evident what are the assess their present and forecasted
competitive advantages, the strengths and competitiveness, based on strategic
weaknesses of Greek tourism industry. These management research undertaken (Buhalis,
elements are useful inputs for the SWOT 2001; Varvaressos and Soteriades, 2011), as
analysis. It is worth pointing out that when well as on the estimations of the TTCI, outlined
implementing such an analysis, there is a need above (WEF, 2013). The interrelations
between SMTEs and destinations are quite
to ask and answer questions that generate apparent, illustrating that a destinations’
meaningful information for each category to weaknesses and threats are reflected inthe
make the analysis useful (Vanhove, 2011). SMTEs’ competitiveness and vice versa
(Vanhove, 2011).

SWOT Analysis for Greek Tourism

2
A SWOT analysis is carried out for the Greek
tourism as well as its SMTEs in order to

2
A SWOT analysis is a structured planning method used to
evaluate the strengths, weaknesses, opportunities and
threats involved in a project, organisation, business
venture, place or industry. It involves specifying the
objective of the business venture or organisation and
identifying the internal and external factors that are
favourable and unfavourable to achieve that objective.
Thus, it aims to identify the key internal and external
factors seen as important to achieving an objective.
(Okumuset al., 2010).

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
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As illustrated in Table 5, the following
strengths of the Greek tourism could be
identified:

(i) tourism resources (archaeological, heritage,

natural and cultural), (ii) the SMTEs’ flexibility
and ability to tailor products to new, savvy
tourists’ needs, (iii) personal relationships with
consumers, suppliers and employees, (iv)
Entrepreneurial activity and family involvement
enhancing service quality, (v) Air transport
infrastructure, and (vi) Health and hygiene
systems.

The main weaknesses of Greek tourism are

(i) Management of SMTEs: Lack of strategic
and operational management know-how. (ii)
Marketing is another significant weakness for
most tourism providers, as they often follow a
product-oriented rather than a consumer-
orientated approach.

Thus, SMTEs suffer from over-dependence on

the tourism distribution channels to market
their product. In particular, tour operators have
enormous power within the channel and are
capable of determining the marketing and
distribution. (iii) Lack of economies of scale
and low bargaining power. (iv) Significant
financial constraints, inadequate training
procedures, no quality standards and
seasonality problems. (v) SMTEs’ typical lack
of business expertise and professionalism. (vi)
Other weaknesses: no steady policy rules and Source:https://c2.staticflickr.com/4/3355/3558384446_27f
regulations, high cost of living, absence of a81b837.jpg
efforts and resources toward environmental
sustainability, and no satisfactory ground
transport infrastructure.

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Strengths Weaknesses
 Natural and cultural attractions/resources  Management and Marketing
 Tourism providers’ flexibility  Dependence upon tour operators
 Tailor-made product delivery  Lack of economies of scale
 Personalised relationships with suppliers,  Financial constraints
consumers and employees  Seasonality
 Entrepreneurial activity and family involvement  Human resources management
 Air transport infrastructure  Lack of quality standards
 Health and hygiene systems  High cost of living (in general)
 Policy rules and regulations
 Environmental sustainability
 Ground transport infrastructure.
Opportunities Threats
 Information technology  Environmental degradation
 Transportation (low-cost carriers)  Oversupply
 European Union support  Concentration and globalisation
 Increase in tourism demand size  Lack of visibility in GDSs
 New emerging markets, China and Russia  Infrastructure
 Trends in tourism demand  Political crises/Wars/terrorism
 Infrastructure development  Political intervention

Table 5: SWOT Analysis of Greek tourism

Source: Buhalis, 2001; Varvaressos and Soteriades, 2011; WEF, 2013

Opportunities: the main opportunities for the tourism benefits from the continuous growth
Greek tourism industry are resulting from the ofglobal tourism demand, especially from the
developments in the external environment. emerging markets, as more people require
Firstly, the informationand communication travel and tourism services, while SMTEsare
technologies (ICTs) can offer opportunities and expected to increase their share as they tend
provide strategic tools for tourismdestinations to satisfy the emerging specialised demand
and SMTEs enabling them to manage better than larger organisations (Sotiriadis,
efficiently their offering disseminate 2012).
information and establish a distribution
mechanism (Buhalis, 2001). As for the external threats, the following could
be observed (i) Environmental degradation
(ii) Deregulation of air transport and the low- through inappropriate waste management and
cost carriers are favourable developments excessive usage of natural resources. (ii)
(Katarelos andKoufodontis, 2012). For Moreover, the concentration of power in fewer
instance, the launch of Ryanair flights to and tourism industry corporations through
from Greece greatly contributed to growth in emerging globalisation also threatens the
2013. ability of Greek SMTEs to survive, as
international vertically integrated tourism
(iii) Furthermore, the EU takes several actions organisations acquire control over local
to support SME, while it supports infrastructure enterprises. (iii) The dependence upon
development of peripheral regions channel partners for the promotion and
andcontributes significantly to the prosperity of distribution of Greek tourism is exaggerated by
SMTEs. the relatively low presence of Greek suppliers
in the major Global Distribution Systems. (iv)
(iv) The country is going througha major The issue of infrastructure is closely related to
transformation as a result of several public the oversupply which attracts higher demand
projects supported by theEU. (v) Greek than planned. Last but not least, political

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
2014 AJHTL - Open Access- Online @ http//: www.ajhtl.com
intervention often damages the prosperity of is primarily responsible for the above
SMTEs (Buhalis, 2001; Varvaressos, 2008). mentioned structural problems (Varvaressos,
2008). Tourism planning in Greece is generally
The SWOT analysis demonstrates quite
realised and exercised within a socio-political
clearly that the Greek tourism faces a wide
environment characterised by a series of
range of problems and threats which
factors, such as: a limited degree of political
jeopardise its ability to provide high quality
commitment, lack of social awareness and
tourism experiences, as well as its ability to
acceptability of planning actions, inadequacy
make a contribution to the national prosperity.
of scientific and technical foundation to support
However, several opportunities and challenges
planning intervention, and a centralised
emerge and they need to be addressed in
administrative-institutional system gathering a
order to strengthen the tourism’s
plethora of functions, but failing to perform its
competitiveness. It is therefore necessary to
coordination and enforcing role. Similarly, the
proceed to further analysis aiming to assess
same deficiencies and problems are evident in
the factors which generate these problems and
the field of marketing. The promotional
the related challenges.
campaign and activities attempt to achieve the
above unspecified policy aims, without any
long-term strategic marketing approach,
STRUCTURAL PROBLEMS, ISSUES AND
including feedback and evaluation of
CHALLENGES
effectiveness of plans(Varvaressos and
Despite the growth of tourism, the significant Soteriades, 2008).
contribution and the relative high
attractiveness, the Greek tourism industry has Private Sector
reached a stage where both its potential and
competitiveness have become The plethora of SMTEs, in combination with
unsustainable.Tourism development in almost inadequate legislation concerning their
all areas took place without any development establishment and operation, seem to affect
plan, respect of the landscape and negatively the ability to diversify and enrich
environment and demand analysis. From the local tourism offering and to provide high
point of view of competitiveness, the Greek quality experiences (Varvaressos and
tourism is not anymore ‘good value for money’ Soteriades, 2011). Structural problems include
(Varvaressos and Soteriades, 2008). The plethora of anarchically operating SMTEs,
leisure tourism market doesn’t perceive the aiming at short-term profitability,oversupply of
country as cheap in relation to comparable tourism amenities and fierce price competition,
destinations in the Mediterranean. Hence, individualistic behaviour by SMTEs and
unless the Greek tourism industry addresses a unwillingness to cooperate on a destination
number of critical issues immediately, its future basis, lack of professionalism, failure to invest
might be seriously compromised (Varvaressos, in long-term projects, lack of partnerships
2008). The major structural problems and among destination stakeholders to deal with
challenges for the Greek tourism are tourism issues. The main challenge is that
presented below. there is lack of cooperation at destination level
causing serious problems in all fields: quality
Public Sector: Failure to Properly Fulfil its of experience, tourists’ satisfaction,
Role and Functions inappropriate promotion and distribution.

The public sector does not have a long-term Challenges

strategic vision to the tourism activity.The
following main issues could be pointed out: The main challenges to be addressed include:
inadequacy of the Greek planning the gradual deterioration of tourism offering,
process,unsuccessful and inconsistent lack of improvement and rejuvenation, the
government programmes, with nearly image ofcheap and undifferentiated 4Ss
complete lack of control,political destination,the increase of tourism arrivals but
intervention,and inadequacy of infrastructure decrease of expenditure per capita,the
to serve the ever-expanding demand. dependence upon tour operators,the
Unfortunately, tourism has extensively been development of tourism as a single regional
utilised as a political vehicle, ‘politician development option,the inability of SMTEs to
practices’ resulting in a great inconsistency in cooperate and collaborate,the deterioration of
tourism policy and disrupt its rationalisation. natural, social and cultural resources,the
The lack of a comprehensive and rational failure of both the private and public sectors to
tourism policy and planning for Greek tourism learn from internationally gained experience

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
2014 AJHTL - Open Access- Online @ http//: www.ajhtl.com
and best practices, andthe negligence with It is argued that these negative impacts
regard to new tourism demand challenges. emerge as a result of the structural problems
of the Greek tourism industry and illustrate that
Implications the mass tourism orientation of the industry
reduces the control of the local stakeholders
Structural problems generate negative tourism over their land and resources whilst
impactsin all areas: business, macro- jeopardising their expected benefits and future
economic, social, cultural and environment. prosperity. As these impacts are trade-offs for
There is a dependency of SMTEs on tour the economic gains of the tourism activity, it is
operators as a result of the weak position of important that consistent, long-term strategic
the Greek tourist product in the international planning should be undertaken in order to
marketand of the lack of marketing activities. achieve sustainability at tourism destinations.
This leads to low profitability.Further, the The present study suggests that the
structural problems have profound implications appropriate approach to tackle these issues is
for the prosperity of host populations, as the the strategic planning and management.
destinations’ economic, social, cultural and
environmental resources are exploited without
ensuring their sustainability (Tsartas, 1992). CONCLUSION: LESSONS AND
Failure to initiate zoning systems contributes to RECOMMENDATIONS
the anarchic development of tourism, as well
as expands negative impacts of tourism on The fierce competition in the global tourism
local societies and environments. The main of arena, the mass tourism orientation of the
these negative impacts are highlighted below. industry, the changes in tourists’ behaviour,
the increase of the volume of inbound tourism,
Macro-economic impacts: Instead of tourism the dependence upon tour operators for the
stimulating agriculture, it seems that it hastens tourism offering distribution in the major
its decline; tourism has been developed at the demand markets, the lack of adequate
expense of industrial and agricultural growth. managerial skills by Greek tourism
Moreover, because of the high degree of entrepreneurs, and the lack of a development
dependence of Greek SMTEs on tour plan by the public sector has led the
operators, the actual amount of tourist competitiveness of Greece tourism to decline.
spending remaining in the country is only the This has several negative implications for the
40–50% of total tourist spending (Soteriades tourism providers, as well as negative
and Arvanitis, 2006). Social and cultural economic, sociocultural and environmental
impacts:The development of mass tourism and impacts for the host communities. Based on
the lack of effective planning and management the strategic analysis of situation and
are also responsible for a number of negative competitiveness, the present studyindicatesthe
social and cultural impacts observed in Greek lessons that could be taken from the Greek
host societies (Tsartas, 1992; Wickens, 1994; experience and formulates recommendations
Andriotis, 2005): the misbehaviour of tourists, for destination planners and managers.
aggressive to the host populations and several
types of criminal activity; the commercialisation The main lesson that could be drawn from the
of history, cultural traditions and the Greek above analysis is that Greek tourism has
lifestyle. Environmental impacts:most Greek attained great achievements in quantitative
destinations go through an unparalleled terms; it could have performed better if there
exploitation due to inadequate planning having was an appropriate tourism planning and
a serious negative effect on their sustainability. rational policy. Further, its competitiveness
Geographical concentration of tourism caused should be much better if there has not been a
damage to the environment and cultural gap between political speeches and action
heritage in the more popular areas. Already plans, between planning and implementation
the environment has suffered from haphazard, of development plans.The anarchic tourism
uncontrolled building, and pollution of the sea developmentexclusively based upon the
and the flora and fauna are being affected by market forces (laissez-faire) without any
waste disposal. Coastal pollution, water serious regulating and coordinating functions,
shortages, sewage treatment, waste disposal, caused serious structural problems that must
traffic congestion, noise pollution, overbuilding, be surmounted.
and aesthetic degradation are some of the
impacts experienced already in a number of The public sector has not played its role as
resorts (Briassoulis, 1993; Varvaressos, 2008). regulator, coordinator, infrastructure provider
and promoter of the destination, while a multi-

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
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integration of the tourism industry, with all the competitiveness of the destination; and to
involved institutions in the design, distribution sustainably develop the local destinationsand
and delivery of tourism experience to ensure prosperity of host
opportunities. The private sectoralso failed to population.Planning should contributeto the
take over its responsibilities, relying almost maximisation of development benefits in a way
exclusively on public sector and intermediaries that utilisesand mobilises the regional resource
for the marketing of their services. The base, realises regional inter-sectoral
business sector should have performed better linkagesand is compatible with economic
to contribute to tourism industry prosperity by interests, societal values and
improving its managerial and marketing environmentalassets (Morrison, 2013).
competencies and cooperating closely in order
to achieve synergies and economies of scale. Adequate strategies: the present study
argues that every destination needs to focus
All destinations planners, managers and on the differentiation strategy, define its own
marketers should bear in mind the following niche markets and serve them accordingly.
issues and challenges in order to attain a Through such a strategy, destinations should
sustainable competitive position of tourism differentiate their tourism offering in order to be
industry. The highly competitive global tourism able to achieve a unique ‘tourist product
arena is not ‘one actor’s show’ for destinations; benefit’ which would enable them to establish
all involved stakeholders at destination level their position in the global tourism market
should take over their responsibilities and (Poon, 1993; Morrison, 2013). Destinations
perform properly their respective functions, in should aim to achieve niche orientation,
close collaboration (Morrison, 2013).The public through differentiation, in order to increase
sector, through its institutionsand agencies, consumer satisfaction as well as to maximise
has to provide a comprehensive framework for the related benefits. As for the overdeveloped
strategic planning which will enable the destinations, the ultimate aim should be to
strengthening of the tourism competitiveness regenerate the regional resources and to
(WEF, 2013). Therefore, the crucial step is to rejuvenate and reposition thedestination
determine a clear competitive strategy aiming (Buhalis, 2001; Varvaressos, 2008).
to establish a profitable and sustainable
position in the global marketplace. Within this Management: its main focus should be the
context, a tourism destination must follow a sustainable development of destination, not
series of recommendations in order to be only for the host community, but also because
sustainable and competitive. this is vital for both tourists’ satisfaction and
the performance of SMTEs. Therefore, the
Tourism governance:The appropriate main objectives must be environmental
political and institutional approaches are a protection and infrastructure amelioration.The
prerequisite to address the challenges and DMO is expected to hold the strategic
issues. Need to establish the appropriate responsibility of the destination, as well as to
structures and provide them with the suitable regulate the competition.Further, there is an
human and financial resources.The imperative for SMTEs to create networks and
government must coordinate the tourism co-operative schemes in an effort to resist the
policies and activities among different actors, monopolist tour operators’ practices. Tourism
institutional arrangements and administrative should be utilised as the catalyst and major
levels in the fields of destination management stimulant for regional development. Clustering
and marketing (Pastras and Bramwell, 2013). approach has increased positive influence on
regional development.This strategy for tourism
Strategic planning: the rational approach to industry should aim to delight tourists,
destination planning and management should enhance the long-term prosperity of SMTEs,
consist of specific steps and outcomes. A and improve the welfare of the host
strategy can be implemented for destinations, populations by spreading the benefits of
through a number of strategic directions, tourism in the whole productive system
resulting to specific aims and precise tasks (Vanhove, 2011). Finally, all stakeholders
(action plans) to achieve the quantifiable need to offer a fair return-on-resources utilised
objectives (Okumuset al., 2010). The strategic back to the host community. A mechanism
aims for the tourism industry of any destination should be established in order to reinvest part
(developed or emerging) should basically be: of the revenues in the sustainability of
to offer a series of experience to enhance resources and provide services for the host
tourists’ satisfaction; to support and strengthen community. This mechanism has never been
the sustainability and long-term introduced into the Greek tourism.

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African Journal of Hospitality, Tourism and Leisure Vol. 4 (2) - (2015) ISSN: 2223-814X Copyright: ©
2014 AJHTL - Open Access- Online @ http//: www.ajhtl.com

Marketing: It is believed that the offering Buhalis, D. (2001), ‘Tourism in Greece:

perceived value for money would determine strategic analysis and challenges’,Current
destinations’ competitiveness in the Issues in Tourism, 4(5), pp. 440-480.
marketplace (Vanhove, 2011; Morrison, 2013).
The main strategic aim is to satisfy the specific Dwyer, L., Forsyth, P. and Dwyer, W.
needs of particular niches and the (2011)‘The Travel and Tourism
requirements of the ‘new tourism’ (Poon, 1993; Competitiveness Index as a Tool for Economic
Pearce, 2011). The shift from the traditional Development and Poverty Reduction’. In:
4Ss (Sun, Sea, Sand and Sex) and a passive Moutinho, L. (ed.) Strategic Management in
nature of tourism to a more active one and the Tourism, 2nd edn (pp. 33-52). Wallingford:
4Is (standing for Information, Insight, CAB International.
Involvement and Inspiration) as well as the
characteristics of SMTEs, and their collective Eurostat (2013) European statistics. Available
influence on tourism products and destinations at: http://epp.eurostat.ec.europa.eu/.
determines a framework for innovative actions. [Accessed 12 September 2014].
The cooperation and collaboration at
destination level contribute to the design and Gerrard, M. (2014)National Geographic
th
offering of customised experiences by using Traveler: Greece (4 ed.). Washington DC: The
flexibility in order to respond to the new National Geographic Society.
demand trends (Sotiriadis, 2012). An
integrated communications mix is necessary to Goeldner, R., Ritchie, J. and McIntosh, R.
maximise the marketing effectiveness, with (2000)Tourism: principles, practices,
th
sufficient financial resources and suitable philosophies (8 ed.). New York: J. Wiley &
human resources to attain the aims. Within this Sons.
context, destinations have to exploit the full
potential and take advantage of the Greeka (2014) Tourism in Greece. Available
opportunities provided by the advent and rapid at:http://www.greeka.com/greece-
expansion of ICTs in the tourism field. The travel/tourism.htm[Accessed 28 August 2014].
continuously changing environment of e-
marketing in travel and tourism requires Katarelos, E. andKoufodontis, I. (2012)
adopting adequate strategy and use of all ‘Business relations between the low cost
available tools and techniques to collaborate carriers and airports as a consequence of the
with the travel trade and the media for their air transport deregulation’,
online marketing activities (UNWTO, 2014). JournalofAirTransportStudies,3(1), pp. 57-77.

Every destination (spatial zone, city, island, Morrison, A.M. (2013) Marketing and
district or region) needs a general strategy as Managing Tourism Destinations. Oxon, UK:
well as a range of strategic directions, Routledge.
objectives and tasks for its tourism industry. Okumus, F., Altinay, L. and Chathoth, P.
This is the responsibility of DMO. The latter (2010)Strategic management for hospitality
has to adopt a comprehensive strategy and to and tourism.Oxford: Butterworth-Heinemann.
draw up a development plan with quantifiable
objectives, tasks and specific action plans. A Oxford Economics (2012).The comparative
suitable governance and holistic tourism economic impact of travel and tourism.
management system are required to London: Oxford Economics and World Travel
facilitatethe development and implementation & Tourism Council.
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investments,monitoring,coordination, Pastras, P. and Bramwell, B. (2013)‘A
regulation and control, as well asevaluation of strategic-relational approach to tourism
performance of public- andprivate-sector policy’,Annals of Tourism Research, 43(2), pp.
actions and practices. 390-414.

Pearce, P.L. (2011) Tourist Behaviour and the

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